Since going live in 2019, Algorand’s carbon-neutral platform and one-of-a-kind pure proof-of-stake consensus mechanism have solved the “blockchain trilemma” by achieving both security and scalability on a decentralized system without a single second of downtime.
Algorand runs on the proof of stake consensus mechanism, meaning that users can stake their tokens on the network to support the activities, especially block validation. By staking ALGO, users earn passive rewards.
It is straightforward to stake ALGO on an exchange. Most major exchanges provide staking incentives on your ALGO balance; you must sign up for this service. However, we will show you how to stake ALGO from wallet apps in the next slides.
#1 Download a wallet Before using the Yieldly website, you must first download an official ALGO wallet. Official Algorand Wallet and MyAlgo Wallet work fine with the Yieldly website.
#2 Fund your wallet The next step is to fund your wallet with ALGO coins. You can buy ALGO from exchanges like Binance and withdraw the coins to any wallet of your choice.
#3 Stake on Yiedly Once connected to the Yieldly website, go to the Staking Pools tab. Here you’ll find a list of all the pools where you may stake your ALGO.
Unstaking is basically the reverse of staking ALGO, except instead of clicking Deposit (after clicking “Stake ALGO & Get Tickets”), you’ll click Withdraw. You will repeat the process by confirming the transaction in your wallet.